THE TOP FUNDS FOR YOUR STOCKS AND SHARES ISA
Hargreaves Lansdown, recommends Marlborough Multi Cap Income, which generates income by investing mostly in medium-sized and smaller companies. “This makes it a riskier proposition, but one with greater long term rewards, and would dovetail well with more large-cap orientated income funds like Woodford Equity Income, from star fund manager Neil Woodford. Marlborough currently yields 4.4 per cent a year.”
Khalaf also names Threadneedle UK Equity Income, which aims to deliver strong growth and rapidly increasing dividends, and currently yields 3.9 per cent.
Analysts at QuotedData have picked out two investment trusts that could deliver plenty of excitement, provided you are ready for a rollercoaster ride. The Russian market has been rebounding on the back of a strengthening oil price but is still among the cheapest emerging markets, and could rise further from here. JPMorgan Russian Securities is one of the few funds that is investing purely in Russia and has grown 48 per cent over the past year alone, although you cannot rely on another year of blistering outperformance.
So-called frontier markets such as Argentina, Vietnam, Romania, Nigeria, Kenya, Bangladesh and Pakistan are playing catch up with the emerging market countries such as China and India.
Aberdeen Frontier Markets, which invests in countries like these, has returned 30 per cent over the past year and now could be a good time to invest.
As with the Russian fund, only invest for the long term and be prepared to hold on tight for a bumpy ride.